Managers
The average confidence of hedge fund managers in the prospects for their businesses over the coming 12 months has hit a new two-year low, according to data released by the Alternative Investment Management Association.
Bridgewater Associates has cemented its position as the top foreign hedge fund operating in China after doubling its assets in the country last year to more than 20 billion yuan ($2.93 billion), according to a report by Reuters.
Ken Griffin’s $54.5 billion Citadel hedge fund business and Citadel Securities electronic trading division both recorded record revenues in 2022, according to a report by the Wall Street Journal. Â
Speculation that a slowdown in inflation and economic growth will force the US Federal Reserve to begin easing monetary policy in the second half of the year has prompted hedge funds to build up record long positions in short-term interest-rate futures pegged to the Secured Overnight Financing Rate.
Investors are set to favour large hedge funds in 2023, with data from Agecroft Partners suggesting that the top 5% of the world’s hedge fund managers will take 80-90% of investor inflows this year, according to a report by Reuters.
But the report cites Agecroft Partners founder and chief executive Don Steinbrugge as saying that the more than 2,000 institutional investors the firm has been in dialogue with over their allocation plans may be wrong to stick with large managers despite their outperformance in 2022.
While hedge funds on average lost 4.1% to the end of November last year according
SurgoCap Partners, a new hedge fund founded by Maia Gaonkar, started trading on Tuesday with $1.8 billion under management, making it the largest ever debut of a female-led hedge fund, according to a report by Bloomberg.
Many global hedge fund managers are seeking exposure to commodities and bonds in 2023 as they prepare for a year of persistently high inflation, according to a report by Reuters.
The report cites a Reuters’ survey of 10 global asset and hedge fund managers as revealing that the majority believe that commodities are undervalued and should perform well as global inflation remains elevated during 2023.
Their other top picks for a high-inflation environment included inflation-linked bonds to shield against price rises and selective exposure to corporate credit.
Equites are the assets to either avoid or short-sell according to the survey
Tiger Global Management is accelerating its transformation from a traditional stock-picking hedge find to a venture capital investment business, with startup bets now accounting for nearly 75% of the firm’s assets, according to a report by Bloomberg.
Hedge funds and other institutional investors have upped their short positions against Mesoblast Limited, a specialist in the development of regenerative medicine products operating in Australia, the United States, Singapore, the United Kingdom, and Switzerland, according to a report by MarketBeat.
As of 15 December, short interest in the company totalled 569,800 shares, an increase of 10.9% from the 30 November total of 513,700 shares.
BlackRock Inc is among the investors upping their positions having raised its holding in Mesoblast by 3.8% during Q3. BlackRock now owns 881,883 shares of the company’s stock valued at $2,245,000 after acquiring an additional
Several hedge funds including Fir Tree Capital Management, Viceroy Research, Valiant, established short positions against stablecoin tether (USDT) during 2022, with others reported to be considering following suit, according to a report by BeInCrypto.
